The Bull Case For Exelixis (EXEL) Could Change Following Expanded Collaboration With Adagene’s SAFEbody Platform

• In September 2025, Adagene Inc. announced an amendment to its collaboration with Exelixis, enabling Exelixis to leverage Adagene’s SAFEbody platform to generate a masked monoclonal antibody for development as an antibody-drug conjugate targeting solid tumors.
• This expanded collaboration underscores the growing importance of next-generation biologic platforms in enhancing the innovation potential of Exelixis’s oncology pipeline.
• We’ll examine how Exelixis’s adoption of Adagene’s SAFEbody technology could impact its pipeline-driven investment narrative.

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Exelixis Investment Narrative Recap

For investors considering Exelixis, the central premise has long been the company’s ability to transition from its reliance on Cabozantinib (CABOMETYX) to a broader, innovation-driven oncology pipeline. While the recent SAFEbody collaboration expands Exelixis’s biologics toolkit, it does not materially change the most immediate catalyst, late-stage readouts and possible regulatory milestones for zanzalintinib as a successor to CABOMETYX, nor mitigate the critical risk tied to potential future loss of exclusivity for cabozantinib.

Among recent developments, Exelixis’s positive topline results from the STELLAR-303 phase 3 trial for zanzalintinib in metastatic colorectal cancer stand out, given the drug’s potential to fill the gap when cabozantinib’s market exclusivity fades. The expanded Adagene partnership adds a layer of diversification but remains a longer-term proposition compared to the late-stage pipeline catalysts.

However, with cabozantinib still accounting for over 90% of revenues, investors should be aware that any acceleration of generic threats or exclusivity loss could ...

Read the full narrative on Exelixis (it's free!)

Exelixis' outlook projects $3.1 billion in revenue and $1.1 billion in earnings by 2028. This is based on 11.7% annual revenue growth and a $497.7 million increase in earnings from the current $602.3 million level.

Uncover how Exelixis' forecasts yield a $44.06 fair value, a 10% upside to its current price.

Exploring Other Perspectives

Ten individual fair value estimates from the Simply Wall St Community range from US$36 to US$199.98 per share. With such divergent views, especially as Exelixis’s zanzalintinib pipeline progresses, you can see how market participants weigh both new opportunities and persistent dependence on cabozantinib very differently, explore these perspectives for a fuller picture.

Explore 10 other fair value estimates on Exelixis - why the stock might be worth 10% less than the current price!

Build Your Own Exelixis Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Exelixis research is our analysis highlighting 3 key rewards that could impact your investment decision.
• Our free Exelixis research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Exelixis' overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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